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Tuesday, March 19, 2019

As a result of Govt's energy efficiency initiative, people can light up for longer and pay less; business is investing in energy efficiency and power sector has avoided Rs 70,000 crore in new peak load investment.

Generation capacity avoided under Ujala (led bulbs) is 5,905 MW and PAT (Perform, Achieve, Trade) is 5,635 MW.

Ujala is managed by a non-profit PSU called EESL It has schemes for led bulbs, street lights, tube lights and 5-star fans. EESL can practically supply free and recover from energy savings. It can aggregate demand and bring down the cost of purchases substantially by making bulk purchases. EESL is now expanding to municipal and agricultural water pumps, and air-conditioners, for which it will invest ₹37,600 crore in 2017-22, and borrow at low cost, incl. $300m from WB.

PAT scheme works by incentivizing companies to beat a 3-year benchmark. Those who miss targets have to buy ES certs at some cost. Eight sectors chosen were cement, steel, aluminium, thermal power plants, fertiliser, paper, textiles and chlor-alkali. 478 companies have invested ₹24,517 crore which resulted in saving of 5,635 MW. In the next round, 621 companies from 11 sectors will contest.

Energy efficiency 2.0

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